Millennials are today’s home buyers. As the housing industry celebrates “New Homes Month” in April, recent data from the U.S. Census Bureau confirms that Millennials are entering the housing market as first-time buyers in droves.
As Millennials continue to age up, get married and start families, this cohort is becoming more and more important to home builders, mortgage firms and real estate brokers looking for a hot new market.
The homeownership rate of Millennials — now at 36 percent — registered the largest gains among all age groups in 2017. Millennials have surpassed Baby Boomers in terms of the U.S. population and now, as the nation’s largest demographic group, there are more than 79 million Millennials poised to dominate the home buying market in the months and years ahead.
“Millennials are recognizing the benefits of homeownership and are eager to buy their first homes,” says National Association of Home Builders (NAHB) chairman Randy Noel, a custom homebuilder from LaPlace, La.
According to the NAHB, millennials are looking for homes in the suburbs where they can raise their families.
Some of the typical necessities Millennials are often looking for includes homes with three bedrooms and two bathrooms, outdoor space, flexible areas that can be used for a variety of purposes, and more luxurious finishes like quartz countertops and steam showers. Technology is another important element among this tech-centric generation who are looking to incorporate nest technology and top level video/audio into their new homes.
Since millennials are today’s home buyers, mortgage and real estate marketers should be marketing to this group through multiple channels, including direct mail as well as digital media.